Each DDG futures contract will be 100 short tons at 2,000 lbs./ton, a minimum of 26% protein and 8% fat, a maximum of 12% fiber content and 11.5% moisture, OPIS reports.

“Each regular delivery facility will be a particular rail junction with regular facilities east of the Mississippi River associated with Chicago and regular facilities west of the Mississippi River associated with Kansas City,” says CME.

CME notes that its DDG futures can be combined with corn and ethanol futures to establish the corn for ethanol crush margin.

Meanwhile, the Renewable Fuels Association (RFA) touted a five-fold increase in DDG exports over the last half decade. RFA notes that about one-third of every corn bushel entering an ethanol facility is returned to the market as DDGs.